A series of securities companies lower the margin lending ratio for real estate stocks

With the stock price continuously falling sharply, lowering the margin lending ratio is not too difficult to understand. However, this is making the situation more difficult for real estate businesses.

Vietnam’s stock market is in a sharp decline in recent sessions, for two consecutive sessions, the VN-Index fell over 2%. In that context, shareholders holding real estate stocks seem to be the ones who suffer the most when most stocks have fallen by tens of percent from the peak, even losing liquidity and selling price surplus. floor of millions of units.

Many real estate stocks continued to drop to the floor at the beginning of the session on 11/8

Not only individual investors suffer losses, leaders and major shareholders in real estate businesses are constantly being “call margin” by securities companies, forced to lower their ownership ratio due to the reason of being sold. unwinding. Not stopping, many securities companies have recently announced to lower the margin lending rate for many real estate stocks.

Latest update, KB Securities Vietnam Joint Stock Company (KBSV) has adjusted the lending rate for 45 securities codes from November 8, 2022. These are all stocks in the real estate industry.

Such as the margin ratio at DIG, VIC, LCG, BCM, DPG, VHM, VRE, DXG, NLG, KDH, IDC, HDG… was adjusted down from 50% to 40%; margin lending rates at TCH, KHG, CEO, HHS, etc. decreased from 40% to 30%; margin rate at NBB, SCR, LDG, DRH. VPH,… adjusted down from 30% to 20%.

KBSV also said that, for old loans, the new loan rate will also be officially applied to calculate the actual rate of the account on 11/11/2022.

Previously, since November 7, KBSV has cut margin for two real estate codes, NVL and PDR, when reducing the margin ratio from 40% to 0%. For old loans, the new loan rate is also officially applied to calculate the actual rate of the account as of November 7, 2022.

Similarly, Mirae Asset Vietnam Securities Joint Stock Company also announced to change the lending ratio (margin) of some securities codes in the margin trading securities portfolio from November 7, 2022. .

Specifically, the loan ratio in NVL and D2D stocks was lowered from 50% to 40%, while KHG and SCR stocks also had their margin ratio lowered from 40% to 30%. On November 1, PC1 stock was also blocked by Mirae Asset from 46,200 dong to 40,170 dong.

At SHS Securities , this securities company also cut margin for PDR shares, this stock code is removed from the list of securities for margin trading at SHS from November 4, 2022.

According to the notice to update the margin portfolio of Yuanta Securities on November 7, the loan ratio at some real estate codes also changed compared to the list published at the end of October. In which, PDR’s lending ratio was lowered from 50% to 30%, and DIG’s lending ratio was lowered from 40% to 30%.

With the stock price continuously falling sharply, lowering the margin lending ratio of securities companies is not too difficult to understand. However, this is making the already difficult situation even more difficult for real estate businesses.

In fact, bonds are an important capital raising channel for real estate businesses. However, this capital mobilization channel has faced difficulties since the revised Decree 153/2020/ND-CP stipulates stricter standards on the issuance of corporate bonds (DN). As a result, capital flows into the real estate business face difficulties, projects are delayed, and the supply of new projects is scarce.

On the other hand, the State Bank also strictly controls credit, especially capital flows into real estate business activities. While the credit bottleneck has not been removed, the plans to issue shares to raise capital of many businesses have also been suspended or postponed, also putting pressure on the capital mobilization of real estate businesses. The above difficulties are having a significant impact on real estate businesses in general as well as real estate stocks in particular.

In the context of tightened credit channels, many business leaders have pledged shares at securities companies to get working capital. Data at the end of the third quarter of 2022 shows that the outstanding loans of securities companies are about VND 165,000 billion, an increase of about VND 15,000 billion compared to the previous quarter, although the market liquidity is quite bleak.

In addition to lowering the margin lending rate in a series of real estate stocks, securities companies in the past 1-2 months have simultaneously increased their margin interest rates to range from 13-15%. /five. The premises have now increased significantly compared to the level of 9-11% during the booming trading market a year ago.

Phuong Linh/Market Lifestyle